Six Principles of Successful Investing

1. Begin investing immediately

Procrastination is the number one enemy of investing. An early start in investing can make an enormous difference as the investor will be able to truly reap the rewards of compounding over a longer period of time.

2. Invest for the long-term

Do not be influenced by short term market fluctuations. These are inevitable. Over the longer term, investments increase in value.

3. Appetite for risk

Your appetite for risk determines the type of investor you could be. The younger you are, the more aggressive you can be in your investment strategy. You could undertake a greater amount of risk. It also depends upon your personality profile.

4. Invest in stocks

Amongst all investment vehicles, stocks have provided the highest return over the long term. Stock investing requires patience and discipline. Stock prices are influenced by short term market fluctuations which may make them volatile. However, over the long term the market recognizes the underlying value of a stock and prices it accordingly.

5. Evaluate your current financial situation

Understanding your current financial situation will help you to sort your finances. This will require you to assess your net worth which the results of the value of the assets that you own less the amount you owe to others. Never invest in anything that you do not understand. Keep aside easy accessible funds equivalent to three to four months of expenses for emergencies. If you are burdened with high interest debt, free yourself from debt before you begin investing. Use budgeting as a tool to control your expenses and for providing you with sufficient funds for investing.

6. Use a financial advisor

If you do not have the time or the inclination, consider using the services of an independent financial advisor. They are certified professionals having in-depth knowledge of various investment vehicles. However, remain involved to some extent to ensure that your money is being invested wisely.

Read More Free Investment, Wealth Creation & Personal Finance Articles & Tutorials at: http://www.global-investment-institute.com/

The Global Investment Institute has been setup to aid people in the pursuit of a better lifestyle through managing their money effectively, investing wisely and wealth planning for their future.

In The News:


pen paper and inkwell


cat break through


Your Portfolio and ?Old Ironsides?

The USS Constitution first ventured into the waters in 1798.... Read More

Introduction To FOREX

The Foreign Exchange Market, better known as FOREX, is a... Read More

The Dreaded Direct Question

(Please have a glass of water within reach before reading... Read More

Inflation Proof Your Investment Portfolio with ETF?s

Even though inflation has been relatively quiet in the U.S.... Read More

Get Wealthy With the Rule of 72

When it comes time to retire how many people would... Read More

Well Managed Investing Risks Bring Rewards!

"Risk comes from not knowing what you're doing!" Warren Buffett... Read More

Foreign Investing - US Investors Still Missing Out?

Investors are still too slowly realizing what the academics have... Read More

Oil and Gasoline Price Uncertainties

The Light Crude Continuous Contract hit an all-time high at... Read More

Porters Five Forces Analysis

If you've ever listened to Warren Buffett talk about investing,... Read More

Learn How to Lose and Risk Management

One of the leading traders on Chicago Mercantile Exchange, because... Read More

How to Invest Your Money

Think carefully on how to invest your money because if... Read More

Realistic Investing Expectations

Over the long term stocks have provided us with great... Read More

Variable Annuities

You know all the articles you read about annuities that... Read More

Invest or be Pink Slipped

Firing an employee seems to be easier and easier for... Read More

Sell Discipline for Investors: Importance and Execution

Investors usually don't have an aversion to buying an asset.... Read More

Online Trading Options Strategies - Rolling

Rolling is defined in options online trading as moving a... Read More

Dont Catch a Falling Knife

One of the most common mistakes made by inexperienced investors... Read More

The Key Ingredient To Increase Preconstruction Profits By Over $20,000

One of the greatest preconstruction investing issues that I hear... Read More

25 Ways to Find Companies to Buy

When you start your program to purchase your "ideal" company,... Read More

Secret Stock Options Trading Strategies the Experts Don`t Want You to Know

To understand stock options, we need to look at Webster’s... Read More

Investors: Avoid These 5 Common Tax Mistakes

For many investors, and even some tax professionals, sorting through... Read More

Preparing to Invest: How to get started

Investments can be a source of great potential earnings. The... Read More

DXPortfolio: A Great Passive Investment of 25% to $40% per month

First, I need to explain about e-currencies or digital currencies.... Read More

Use this Simple Trick its to Buy $100 Bills Direct from your Bank for only $97

Most People just don't understand the power of using their... Read More

Investing and the Fear of Regret and Greed

People tend to feel sorrow and grief after having made... Read More

Protecting the Tax Advantage of Your Deferred Compensation

The American Jobs Creation Act of 2004 imposed strict new... Read More

Seecrets on Investment: Tired of Making Huge Losses in the Stock Market ? Part 1

Over 80% of all individual investors lose money in any... Read More

CYA

You all know what CYA stands for. Of course, Cover... Read More

Stocks: Reduce Risk Yet Maximize Profits

It is important to note that every smart investor wants... Read More

Rules for Simplified Employee Pension Plans better known as a SEP Plans

A SEP is a special type of IRA. Under a... Read More

Stock Market Leaders and Laggards

Leaders are stocks that breakout immediately when the market confirms... Read More

Keeping It Interesting

Some lines from a movie never leave your mind; I... Read More

Investing in Car Dealerships: Doing Your Homework

This article attempts to help give the investor a broader... Read More